In a double-barrelled move to transform Nigeria from a “pit-to-port” raw material exporter into a mineral processing hub, the Federal Government today officially unveiled the Lagos Gold Refinery (LGR) and provided a definitive timeline for the launch of the $600 million Jiuling Lithium plant.
Speaking at the inauguration of the refinery in the Lekki Free Trade Zone, the Minister of Solid Minerals Development, Dr. Dele Alake, declared that the era of smuggling raw gold out of Nigeria is “effectively over.“
The newly unveiled refinery, a joint venture between the Federal Government and private indigenous partners, is designed to process 3 tonnes of gold per month to the highest international purity standards ($99.99\%$).
The facility is currently undergoing final accreditation with the London Bullion Market Association (LBMA), a move that will allow Nigerian gold to be traded on the global stage as a “Good Delivery” asset.
Under the National Gold Purchase Programme (NGPP), the refinery will supply the Central Bank of Nigeria (CBN) with refined bullion to bolster the nation’s foreign reserves using local currency.
Every bar produced at the facility will feature a digital “Mineral DNA” tag, ensuring it is sourced from licensed artisanal cooperatives and is free from “conflict gold” or child labor.
Following the gold unveiling, the Minister announced that the $600 million Jiuling Lithium processing plant, located on the boundary of Kaduna and Niger States, is now 95% complete.
“We have told every investor: if you don’t build a plant here, you don’t get a license. The $600 million Jiuling plant is the first fruit of this ‘Value Addition’ policy. We are no longer just a mining nation; we are becoming an industrial powerhouse for the global energy transition.” Dr. Dele Alake, 13 January 2026.
The twin announcements come at a time when Nigeria is desperately seeking to diversify its foreign exchange earnings away from crude oil. With lithium prices rebounding in early 2026 due to the global surge in Electric Vehicle (EV) demand, Nigeria’s high-grade deposits ($13\%$ lithium oxide) are becoming the “new oil.“
Key Takeaways for Investors:
The FG also confirmed a 5-year tax holiday for mining companies that set up refineries in-country. To protect these assets, an additional 2,000 Mining Marshals have been deployed to secure the Kaduna-Niger lithium corridor and the gold-rich areas of Osun and Zamfara. A minimum of 30% of refined products must be offered to local jewelry manufacturers and tech firms before export.
